ALARA RESOURCES LIMITED — Capital/Financing Update 2021

Sep 26, 2021

Alara Resources Limited ABN: 27 122 892 719 Suite 1.02, 110 Erindale Road, Balcatta WA 6021, Australia PO Box 963, Balcatta WA 6914

Telephone: +61 8 9240 4211 Facsimile: +968 2449 2491 Website: www.alararesources.com E-mail: cosec@alararesources.com

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ASX/MEDIA RELEASE

Monday, 27 September 2021

ALARA ACCELERATES COPPER-GOLD PROJECT CONSTRUCTION

• Alara’s joint venture has received all required permits to commence construction at its Oman copper-gold project.

• Construction of a 325-personnel accommodation village has commenced and is expected to begin housing construction and mining crews by end of 2021.

• Alara has issued purchase orders for key mining and processing plant and equipment, committing a total Capex of US$17.8 million as of September 2021.

• Alara’s copper-gold mining-processing facility is on track for completion by Q3 CY22.

Perth : Minerals exploration and development company Alara Resources Limited (ASX: AUQ) (“ Alara ” or “the Company ”) is pleased to provide an update on construction activities at its Al Wash-hi Majaza Copper-Gold Project in Oman. Alara owns a 51 percent equity interest in the joint venture developing the project.

Construction of accommodation village accelerates

After receiving required approvals from the local municipality, the contractor mobilised its team and equipment at the Al Wash-hi village site for surface levelling and digging foundation trenches.

As previously announced, the village is designed to house 325 personnel from the construction, mining and plant operation crews, and contains a range of facilities including dining, prayer and recreation halls[1] . The following photographs show work underway:

Images 1-9: Construction progress throughout August and September 2021

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1 Further details of the accommodation village are available in Alara’s announcement dated 5 August 2021.

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Procurement update

Alara’s JV company Al Hadeetha Resources LLC commenced project finance drawdown with the following purchase orders and contracts awarded, committing a total Capex of US$17.8 million in September 2021. Regular procurement and construction updates will be provided.

№	Package/Equipment details	Supplier/Contractor	Supplier/Contractor
1	Ball Mill, SAG Mill, Crusher	CITIC	China
2	Rock Breaker	Metso-OT	Finland
3	Apron Feeder	L&T	India
4	Pan Feeders	Metso-OT	India
5	Magnetic Separators	Electro Zavod	India
6	Accommodation Cabins Refurbished	Al Tasnim	Oman
7	Accommodation Camp Construction	Al Naba Infrastructure	Oman
8	New Cabins - Dining, Offices etc.	Al Rehwan	Oman
9	Fencing	Al Naba Infrastructure	Oman
10	Conveyors	Al Tasnim	Oman
11	Belt Weigher and Vibrating Screens	Schenck	India
12	Hydro cyclones	Weir	UAE
13	Conveyor safety switches	Smart SAA	India
14	Construction of Access Road	C & C	Oman
15	Pressure Filters	Matec	Italy
16	Regrinding Mill	Metso Outotec	USA
17	Electrical Packages - Transformers, Panels,Motors, Telecom	ABB	India

Alara Managing Director Atmavireshwar Sthapak said:

“ We are very pleased with the progress we are making at the Al Wash-hi Majaza Copper-Gold Project in Oman. Construction of the accommodation village has accelerated and is on track to be completed on schedule and within budget. We look forward to updating shareholders on the completion of the project’s accommodation village and copper-gold mining-processing facility. ”

ENDS

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ALARA RESOURCES LIMITED

This announcement is authorised by:

Atmavireshwar Sthapak T | +968 2449 1162 Managing Director E | avsthapak@alararesources.com Dinesh Aggarwal T | +61 8 9240 4211 Company Secretary E | cosec@alararesources.com ASX Code | AUQ

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Media enquiries:

Julia Maguire T | +61 2 8999 3699 The Capital Network E | julia@thecapitalnetwork.com.au

For further information, please contact the abovenamed.

About Alara Resources

Alara Resources Limited (ASX: AUQ) is an Australian minerals exploration company with a portfolio of projects in the Middle East. Alara has completed Bankable Feasibility Studies for the Wash-hi Majaza Copper-Gold Project in Oman and the Khnaiguiyah Zinc-Copper Project in Saudi Arabia, and an Advanced Scoping Study on the Daris Copper-Gold Project in Oman. In June 2018, Al Hadeetha Resources became the first international joint venture company to be awarded a copper mining licence in the Sultanate of Oman. The Company is now establishing itself as a mine developer and producer of base and precious metals. For more information, please visit: www.alararesources.com.

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